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What is the Cost of Call Center Outsourcing?

Since its recognition as a business strategy in 1989, outsourcing has been a hot topic among all sorts of industries. Organizations can expect multiple perks while planning to outsource the call center process. Cost control is one of the major perks associated with the outsourcing of contact center process.
Some Major Call Center Processes which are Outsourced Include:

Telemarketing Services
Customer Support
Technical Support
Order Taking and Processing

Analyzing the cost associated with contracting out of this process is vital to ensure that budget is not affected.

Generally, the cost of outsourcing a call center may range from $8 to as much as $65 per hour per agent depending on the complexity of the project and service quality of the vendor. The charges for technical support are usually higher as compared to non-technical support services.

Call Center Outsourcing

Factors Influencing Outsourcing Costs

There are multiple factors that impact the overall costs associated with call center outsourcing which include:

1. Quality of Call Center Agency – Usually, a renowned call center with years of experience and robust technology may charge more due to expertise in the industry as compared to new players in the market.

2. Complexity of the Project – Several projects are quite complicated in terms of execution and management which may result in extra costs associated with outsourcing.

3. Volume of Calls – In various processes like customer support, the volume of calls may be quite high as compared to regular projects. This may result in high costs related to that specific project.

4. Additional charges – Some processes like sales may incur additional charges like incentives for the employees when the number of sales is higher than the pre-decided target.

5. Region of the Outsourcing Agency – Outsourcing costs of the call center varies as per the region of the world in which the call center vendor is situated.

6. Multichannel Support – The charges of the call center process increase with the addition of customer support channels like email, social media and chat support in a project.

7. Data Backup and Security – The companies offering multiple levels of data security may charge more as data is thoroughly protected at their workplace. Also, these companies have multiple centers to ensure that work is not disrupted in case of calamity at a particular center.

Pricing Based on Call Center Agent Model

Prices of call center process also vary with the type of call center agent model. Two major models are shared and dedicated agent process. Let’s look at each of them in detail.

Shared Agent Call Center Model

Companies seeking an economical option related to call center outsourcing can opt for shared agent process. In this process, the company pays only for the number of minutes for which an agent remains on a call with customer. The agent handles the projects of more than one client which ensures that process remains affordable for the clients.

Let’s Take an Example:

You own a retail business and plan to hire a call center with shared process.

Now, the cost per minute incurred by call center agency is ‘M’ dollars.

Total duration of calls for your project is ‘N’ minutes.

So, you have to pay only ‘M x N’ dollars for the service.

Dedicated Agent Call Center Model

This is suitable for businesses which receive high volume of calls or require expert agents due to complexity of the process. In this process, agents or a team of agents work specifically for a particular client.

The cost is calculated for a specific time period like a month or a year during which the process is contracted out to the vendors.

Some companies even put the charges on clients on the basis of number of sales made by the agents.

How to Finalize the Outsourcing Vendor?

Low price of the services should not be only factor while choosing the call center company. The companies looking for vendors must also perform a background check of the Outsourcing Firm to ensure their reputation along with their experience in the market. Other factors like technology, quality assurance processes and training methods should also be kept in mind while choosing the vendor.

Therefore, a balance of reasonable pricing and finest quality services makes the outsourcing process successful for every company across the globe.

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